Dimon and Fink say leaders must reject hate as they quit Trump council

JPMorgan boss tells staff: 'It is a leader's role to bring people together, not tear them apart'

Jamie Dimon, chairman and CEO of JPMorgan
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By

Tim Burke,

Fareed Sahloul and

David Ricketts

August 16, 2017 Updated: August 17, 2017 10:11 a.m. GMT

Jamie Dimon and Larry Fink — two of American's most influential financiers — said it is the job of leaders to reject intolerance and hate as they disbanded a forum of senior advisers to US president Donald Trump.

Their comments came out late Wednesday after it emerged two business councils set up to advise Trump had been disbanded amid the controversy surrounding the President's response to last weekend's racism-fuelled violence in Charlottesville, Virginia.

In memos sent to staff, both Dimon and Fink appeared to contradict an earlier message from Trump that it was he who had decided to disband the advisory groups.

In his note to staff — his second on the matter in recent days — Dimon, the chairman and chief executive of JPMorgan, said: "I strongly disagree with President Trump's reaction to the events that took place in Charlottesville over the past several days. Racism, intolerance and violence are always wrong."

He added: "It is a leader's role, in business or government, to bring people together, not tear them apart."

His words were echoed by Fink, the chairman and CEO of the world's largest fund manager, BlackRock, who wrote in his own note to staff: "The events that occurred in Charlottesville... are nothing short of domestic terrorism. Such racism and bigotry must not just be condemned, but must be condemned unequivocally."

Both Dimon and Fink were among those serving on Trump's Strategic and Policy Forum, a group of CEOs who would, according to a December statement from Trump's team, "share their specific experience and knowledge as the President implements his economic agenda". It was led by Blackstone chief executive Stephen Schwarzman.

Trump's reaction to the violence that unfolded at a protest by white supremacists in Charlottesville, at which a counter-protester was killed, was initially criticised for not denouncing the supremacists quickly enough. He then did so, but at a press conference on Tuesday reverted to his original stance that both sides were to blame for the violence that unfolded.

Larry Fink, CEO of BlackRock
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During this period, several corporate bosses resigned from Trump's American Manufacturing Council. On Wednesday, Trump tweeted: "Rather than putting pressure on the businesspeople of the Manufacturing Council & Strategy & Policy Forum, I am ending both."

Appearing to contradict Trump's claim that he was responsible for ending the two organisations, Dimon said in his memo to staff that the members had taken the decision themselves. Fink also indicated he had moved to step down before any formal disbanding of the council had taken place.

In a statement sent out via Blackstone, the Strategic and Policy Forum said: "We believe the debate over Forum participation has become a distraction from our well-intentioned and sincere desire to aid vital policy discussions on how to improve the lives of everyday Americans. As such, the president and we are disbanding the Forum."

The Wall Street Journal reported that it was Schwarzman who had initiated a call with other members of the forum before calling the White House to inform Trump that it was being disbanded.

Wall Street and corporate America had been buoyed by Turmp's election in November 2016 on the back of a pro-business agenda of less regulation, lower tax rates and increased infrastructure spending. But a turbulent first few months in office have seen the Trump presidency defined more by senior departures from his administration, rising tensions with North Korea and alleged Russian meddling in the election and than advancements in domestic policy.

In his memo, Fink said BlackRock would continue to engage with government on strengthening the US economy, with Dimon saying it was important to "help develop rational, intelligent policies".

The memos that Dimon and Fink sent to staff are published in full below:

• Jamie Dimon memo:

I strongly disagree with President Trump's reaction to the events that took place in Charlottesville over the past several days. Racism, intolerance and violence are always wrong. The equal treatment of all people is one of our nation's bedrock principles. There is no room for equivocation here: the evil on display by these perpetrators of hate should be condemned and has no place in a country that draws strength from our diversity and humanity.

As a company and for all business in general, it is critical that we help develop rational, intelligent policies to help expand opportunities for all of our citizens. I know that times are tough for many.

The lack of economic growth and opportunity has led to deep and understandable frustration among so many Americans. But fanning divisiveness is not the answer. Constructive economic and regulatory policies are not enough and will not matter if we do not address the divisions in our country. It is a leader's role, in business or government, to bring people together, not tear them apart.

Today, the members of the President's Strategic and Policy Forum agreed to disband. The group put out its own statement. But I also wanted you to understand why I personally supported this decision and how strongly I feel about these issues.

I’m very proud of the 250,000 people working here at JPMorgan Chase. I see your values every day – in how you treat your clients, your communities and each other. I am proud to see so many of you leading by example and not losing sight of the core principles which made our country great. I stand with you.

Jamie

• Larry Fink memo:

Late last year, I joined President Trump’s Strategic and Policy Forum because I believe we need to advance policies that can spur economic growth and improve life for all Americans. Engaging constructively with governments is central to advancing BlackRock’s mission, and, in the United States, we desperately need to find common ground on which Americans of different views and from different parties can come together to move the nation forward.

While I have disagreed with the President in certain instances this year, I continued to participate in the Forum because I believed it was important to have a voice at the table for investors, including our clients. Unfortunately, after the last few days, I concluded that I could no longer in good conscience participate in the Forum.

The events that occurred in Charlottesville... are nothing short of domestic terrorism. Such racism and bigotry must not just be condemned, but must be condemned unequivocally. The diversity of America works because leaders from all walks of life have always been willing to step forward and reject intolerance without equivocation.

In the last 24 hours, I informed our clients on the Forum as well as the Forum’s chairman of my decision to resign. I also made clear that while I won’t be participating in the Forum, BlackRock will continue to engage on issues of public policy with governments at all levels and around the world. For the U.S. economy, successfully enacting tax reform and rebuilding our infrastructure are of paramount importance.

BlackRock will continue to contribute to the debate on these and other important issues, but we will do so in ways that are consistent with our culture and values.